ACCA F8 - Audit and Assurance Revision Kit 2016

Tackling Multiple Choice Case Questions
First, read the whole case scenario. Make a note of any specific instructions or assumptions, such as key dates.
Then skim through the requirements of the five questions. The questions are independent of each other and can be
answered in any order.
Some of the questions will be easier than others. For example, you may be asked to identify risks to independence
from a given scenario.
Other questions will be more difficult and/or complex. There are two types of question that may take you longer to
answer.
The first more time-consuming question is one where you are asked to consider two related issues. The best
approach to adopt here is a step-by-step approach, dealing with each issue in turn. For example you could be asked
to consider whether a potential adjustment is material and the impact of this on the audit report based on
circumstances set out in the scenario. The first step would be to assess the materiality of the adjustment using your
technical knowledge, but also applying any information given to you in the scenario. Having made a decision it
should be possible to discount at least one of the distracters. Then think about the impact on the auditor’s report.
Does the audit opinion need to be modified or not? If it is, is the issue pervasive or not? If possible, try to come to
your own conclusion before looking at the options available, then check whether your answer is one of the options
listed. (Obviously if you are struggling looking at the remaining available options may help to jog your memory.)
Having selected your answer always check the remaining distracters to ensure that you haven’t made a common
mistake.
The second more time-consuming question is one where you are asked to consider a number of statements and
identify which one (or more) of them is correct. Make sure that you read each statement at least twice before
making your selection. Be careful to follow the requirements of the question exactly, for example if you are asked to
identify two correct statements. Make sure that you have spotted any negative questions eg ‘Which two of the
following are NOT….’
Passing F8
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